Pension reforms 'would need to strike a balance'

Any pension proposals for the public sector will need to strike a balance between workers, the government and the taxpayer, it has been claimed.

The Pensions Policy Institute (PPI) noted that affordability needs to be weighed up against the need for reform.

Niki Cleal, director of the PPI, stated that it is important that any attempt at reform should address the right issues.

Those in power hope to "recruit and retain" high quality staff by offering an attractive retirement fund scheme, but equilibrium with fairness and transparency still needs to be found.

While it has set out what improvements could be made to the system, the PPI remarked that it is not asking for any changes to happen - rather it is giving advice on what alternative policy options could be followed.

It was recently announced that the Pension Protection Fund is to expand its investment strategy, as it focuses on longer term profits.